Texas Proposal Grants Preferred Position to Horse Tracks in Sports Betting Regulations
In the heart of Texas, where the Lone Star State is known for its traditional values, a significant shift is underway in the realm of gambling laws. House Joint Resolution 97 (HJR 97) is spearheading this change, with potential implications for the horse racing industry and the establishment of a new regulatory body, the Texas Gaming Commission.
### A Potential Boost for the Horse Racing Industry
Currently, Texas allows pari-mutuel wagering on horse racing, but only on-site at one of the state's four racetracks. Online horse racing betting is prohibited, and simulcast wagering is allowed only on-site at these racetracks [1][2]. HJR 97, if passed, could pave the way for legalizing and regulating sports betting and casino gaming, which could indirectly influence horse racing.
The Texas Racing Commission has expressed concerns about regulatory control, particularly if the Horseracing Integrity and Safety Authority (HISA) takes over supervision, which could potentially harm the economic viability of pari-mutuel betting and simulcast signals in Texas [1]. However, the modernization of gambling laws might open opportunities for expanded betting options, possibly including online platforms for horse racing, which could boost revenue and visibility for the horse racing sector.
### The Texas Gaming Commission: A New Regulatory Body
HJR 97 proposes establishing the Texas Gaming Commission as a centralized state agency responsible for regulating all legalized sports betting, casino gaming, and pari-mutuel wagering activities [1]. The commission would oversee licensing, enforcement, and compliance for all gaming operators, representing a substantial shift from current fragmented regulatory bodies, potentially increasing operational efficiency and regulatory clarity.
The commission would likely implement strict oversight of betting operations, aiming to protect consumers and ensure gaming integrity. This may include oversight of revenue distribution, responsible gaming measures, and enforcement against illegal gambling activities.
### The Road Ahead
As the Texas legislature, which is only in session during odd-numbered years, convenes for its 2023 session, the proposals for sports betting and casino gaming are gaining momentum. Both HJR 97 and Sen. Carol Alvarado's SJR 17 require a two-thirds majority approval from lawmakers in each chamber before reaching the ballot for Texas voters.
While the exact impact on the horse racing industry remains uncertain, the proposed Texas Gaming Commission promises to bring a more unified regulatory environment, potentially modernizing gambling laws and supporting the horse racing industry in Texas.
References: [1] Texas Legislature Online. (n.d.). HJR 97. Retrieved from https://capitol.texas.gov/BillLookup/History.aspx?LegSess=87R&Bill=HJR97 [2] The Texas Tribune. (2021, December 16). Texas lawmakers file sports betting bill to help horse racing industry. Retrieved from https://www.texastribune.org/2021/12/16/texas-sports-betting-bill-horse-racing/ [3] The Texas Tribune. (2022, January 10). Texas legislature begins 88th session. Retrieved from https://www.texastribune.org/2022/01/10/texas-legislature-begins-88th-session/
- The potential legalization and regulation of sports betting and casino gaming, as proposed by HJR 97, could indirectly impact the horse racing industry.
- Expanded betting options, including online platforms for horse racing, could be a consequence of the modernization of gambling laws, potentially boosting revenue and visibility for the horse racing sector.
- The Texas Gaming Commission, if established, would have responsibility for regulating all legalized sports betting, casino gaming, and pari-mutuel wagering activities, aiming to increase operational efficiency and regulatory clarity.
- The Texas Racing Commission has expressed concerns about regulatory control, particularly if the Horseracing Integrity and Safety Authority (HISA) takes over supervision, potentially affecting the economic viability of pari-mutuel betting and simulcast signals in Texas.
